ByMatthew Craft, AP Business WriterDecember 8, 2011

The European Central Bank (ECB) President Mario Draghi speaks during the monthly news conference in Frankfurt, Dec. 8, 2011. The ECB cut its main interest rate by 25 basis points to 1.0 percent but said it had no plans for large-scale government bond purchases. US stocks fell in early trading.

NEW YORK — U.S. stocks are sliding in early trading Thursday after the head of the European Central Bank said there was no existing plan for large-scale government bond purchases, as many in the markets had hoped.

ECB President Mario Draghi's remarks came after the bank cut its benchmark interest rate and took other modest steps to help shore up Europe's financial system. His comments also sent the euro lower against the dollar.

In France, French President Nicolas Sarkozy and German Chancellor Angela Merkel tried to muster support from other European leaders for their latest bid to save the euro currency from collapsing under the weight of huge government debts. A summit that begins later Thursday has been billed as a make-or-break moment to convince markets that Europe will take bold enough action to prevent the euro from breaking up.

Among companies making large moves, Costco Wholesale Co. fell 2.5 percent after reporting earnings that fell short of analysts" expectations. The retailer said higher costs ate up much of a 12.5 percent increase in sales.

Amgen rose 1.4 percent after it said it plans to spend about $5 billion on buying back its stock from investors. The drugmaker expects to acquire more than 9 percent of its outstanding stock.